Exam 2: The Global Economic Environment

Devaluation can result from government action or an economic crisis.In August 1998,the Russian economy imploded.As a result,all of the following listed events happened except:

The world economic environment is changing very rapidly and has become increasingly competitive.In order to achieve success,based on author William Greider's analysis,what are the realities that executives and marketers should take into account in such a dynamic environment?

The foreign exchange market consists literally of a buyer's and a seller's market where currencies are traded for both spot and future delivery on a continuous basis.The forward market is for immediate delivery and the spot market is for future delivery.

The World Bank has developed a four-category classification system for stages of marketing development which uses per capita gross national income (GNI)as a base.

The death of Venezuelan President Hugo Chavez in March 2013 marked the end of an era,where he toyed with the idea of pursuing a "third way" to economic growth.

A decade ago,a number of countries in Central Europe,Latin America,and Asia were expected to experience rapid economic growth.Today much attention is focused on opportunities in Brazil,Russia,India,and China.Give reasons for this shift using an example of a manufacturer.

In Brazil,Daimler AG works with a cooperative of farmers who transform coconut husks into natural rubber to be used in auto seats,headrests,and sun visors.

With a 2011 GNI per capital of $1,410,India has transitioned out from the former category and now is classified as a(n):

The important fact to recognize about the overall balance of payments is that it is always in balance,although imbalances do occur in subsets of the overall balance.

Upper-middle-income countries,also known as industrializing or developing countries are those with GNI per capita ranging from:

A country with a positive current account balance has a trade deficit; that is,the outflow of money to pay for imports exceeds the inflow of money for sales of exports.

Porsche relies on currency hedging rather than price increases in order to:

Upper-middle-income countries that achieve the highest rates of economic growth are sometimes referred to collectively as:

Myanmar,a low-income country in Southeast Asia with a population of 65 million people,can be considered as one of the emerging markets.

Product and market opportunities in postindustrial society are heavily dependent upon new products and innovations.

Nike produces only a small portion of its output in China,but when the firm refers to China as a "two-billion-foot market," it is referring to the fact that:

The newly independent countries of the former Soviet Union present an interesting situation: income is declining,and there is considerable economic hardship.The potential for disruption is certainly high.Are they problem cases,or are they attractive opportunities with good potential for moving out of the low-income category?

The term "Expanded Triad" includes all of the following countries or regions except:

Measuring elevator populations in countries measured as units installed per thousand people gives an estimate of the market for elevators.That China has about one half an elevator per thousand people is indicative of:

The Organization for Economic Cooperation and Development (OECD)is comprised of: